Dirgantara Indonesia Secures Rp 1 Trillion in Plane Contracts

Two Indonesian Army officers examine a helicopter produced by Indonesian aircraft manufacturer Dirgantara Indonesia at a DI facility in Bandung on March 15. (JG Photo/Rezza Estily)

Two Indonesian Army officers examine a helicopter produced by Indonesian aircraft manufacturer Dirgantara Indonesia at a DI facility in Bandung on March 15. (JG Photo/Rezza Estily)

Indonesian aircraft-maker Dirgantara Indonesia on Monday said it had signed Rp 1 trillion ($99.8 million) worth of contracts this year to manufacture three CN 235 planes, while targeting to expand its market share in domestic aircraft maintenance.

Two of the airplanes will be used by the Indonesian Navy, while the other one by the Air Force, DI director for technology Andi Alisyahbana said in Jakarta.

CN 235 is a medium-range, twin-engined transport plane developed jointly by Bandung-based DI and Spain’s Casa.

Andi said the three airplanes were scheduled to be delivered between 2015 and 2016.

“Those are new contracts, part of our annual targets. We also have backlog contracts for this year’s deliveries, amounting to Rp 8 trillion,” Andi said.

He added DI targeted to secure Rp 3 trillion worth of new contracts for aircraft manufacturing this year alone, and that it was eyeing a number of “big contracts” to meet the target, although he refused to elaborate.

Andi added that DI was also targeting to increase its market share in domestic plane maintenance, currently dominated by Garuda Maintenance Facility, a subsidiary of national airline Garuda Indonesia.

“GMF is currently the best [provider] of aircraft maintenance services [in Indonesia]. It controls [a market portion] worth Rp 8 trillion, while we [DI control] Rp 3 trillion,” he said.

He added DI was continually improving its maintenance capacity, including for Boeing and Airbus planes, in order to widen the market share.

The company prepared Rp 1.4 trillion, including from bank loans, to support the capacity improvement.